The decisions taken in the 56th GST Council meeting on September 3, 2025, have brought major relief to the public. The government has reduced GST rates on several essential goods and has completely removed the 12 per cent GST on 33 life-saving medicines, and 5 per cent GST on other specialised medicines used in the treatment of cancer, rare diseases and chronic conditions, making them tax-free.
GST on all other drugs and medicines has been reduced from 12 per cent to 5 per cent. The GST on various medical apparatus and devices used for medical, surgical, dental, or veterinary purposes, or for physical and chemical analysis, has also been reduced from 18 per cent to 5 per cent.
Life-saving medicines to become cheaper
The medicines that now fall under the zero-GST category are mainly those used in the treatment of rare and critical diseases. Earlier, patients and their families had to bear heavy expenses because of high medicine costs, especially for treatments like cancer, genetic disorders, and blood-related diseases. Now, with the GST exemption, patients will get medicines at lower prices, providing much-needed relief to financially stressed families. Starting September 22, 2025, no GST will be charged on the purchase of these 33 life-saving medicines.
This move highlights the government's effort to make critical healthcare more affordable. By eliminating GST on these medicines, the cost burden on families battling rare and life-threatening diseases is expected to reduce significantly.